New regulations issued on local content requirement in solar power plant projects
Tuesday, February 28 2017 - 03:18 AM WIB
Petromindo
Minister of Industry Airlangga Hartarto has issued two new ministerial regulations on the requirement to use domestically manufactured components in solar power plant projects in the country, Kontan reported on Tuesday.
The two new regulations are Ministerial Regulation No 4/2017 on calculation of local content in solar power plant projects, and Ministerial Regulation No 5/2017 on guidelines in the use of domestic goods in electricity infrastructure development.
I Gusti Putu Suryawirawan, Director General of Metal, Machinery, Transportation Equipment and Electronic Industries at the ministry, said that the new regulations are expected to support the local component industries.
According to Ministerial Regulation No 5/2017, local content requirement in solar power plant project has been initially set at a minimum of 40 percent, and will gradually increase to 50 percent starting 2018, and to 60 percent starting 2019.
The Association of Indonesian Solar Module Manufacturers (Apamsi) welcomes the new regulations. ?The regulations will increase production of photovoltaic (components) and investment,? said Apamsi Secretary General Nick Nurrachman told the paper. (*)